MCP Not Working in Cloud Agents VM

Where does the bug appear (feature/product)?

Background Agent (GitHub, Slack, Web, Linear)

Describe the Bug

Cloud Agents aren’t able to discover/use the MCP servers configured in their remote IDE

Steps to Reproduce

Configure your cloud agent environment manually using the Remote IDE to add an MCP Server. It will succeed and everything in cursor settings. But the agent will not be able to discover that MCP resource/tools to do anything, it shows zero MCP tools.

Expected Behavior

Agent should be able to access the MCP

Operating System

Windows 10/11
Linux

Version Information

Cursor Version: 2.4.35

Does this stop you from using Cursor

No - Cursor works, but with this issue

Update: As a temporary workaround, I found in another related thread that adding the mcp.json file in the project root (.cursor) resolves the issue for cloud agents at the moment. This approach works for now, but it would be great if the team could address the underlying root cause directly.